Gutted House Fire
Homeowner’s house was completely gutted by fire. His insurance company initially paid him about $58,000 but we were able to identify some hidden coverages in his policy to get him paid more than twice that.
One of our clients had a fire at their house. The fire resulted in a total loss and their insurance company baulked at causation…it was electrical. Because the home was gutted by the fire, we fought for Law & Ordinance coverage. Law & Ordinance coverage basically states that if you have a loss and your structure needs to be brought up to code, then your carrier must cover 25% of the cost. Unfortunately, with this client, bringing the structure up to code meant tearing it down completely because it was a concrete structure built in the 60’s. The insurance company tried to delay and subvert the claim by saying they covered “incurred’ costs, but incurred doesn’t mean what was spent, it means any costs that need to be covered. So we negotiated with his insurance company and got him paid for that, then we also got him paid another 10% for debris removal. On top of the Law & Ordinance coverage and the debris removal coverage, we were also able to get him 10% for living expenses (since his home was now inhabitable). This case was a typical example of how insurance companies can keep hidden coverages from you to ensure they payout as little as possible.
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- Fire Damage